This can range from a one-off donation of varying amounts to a strategic commitment or to a long term solution to address a societal need. There is not one tried and tested method to being a great philanthropist.
For many, philanthropy begins with a donation to a charity with whom they have a personal connection. This can focus on supporting a particular group or issue. This may be through family connections, through health matters or through social concerns. They may regularly donate, volunteer or connect with the charity. Their support can be local, national or global, with the intention to contribute proportionately to the efforts to make a positive difference.
There are some common trends that flow from the above when philanthropists have a strong focus on supporting their local communities as they themselves have strong roots within their local community. Their support extends to local projects and programmes. The intention being to improve circumstances for those who live within their community.
There are those who are more interested in tackling the systems that create disadvantages and imbalances in society, demonstrating a willingness to initiate and support work that is targeted at medium and longer term change, often addressing causes that lead to negative consequences. Engaging in this way can have greater impact in terms of reach and preventing issues in the future. For example, supporting the improvement of welfare rights as opposed to providing welfare grants for individuals.
At the opposite end of the spectrum are those philanthropists that strive to be more strategic and long term in their charitable giving. They adopt a portfolio approach with the objective to invest over time. They are comfortable with accepting risk in order to achieve a greater impact or to discover a new solution to a historical problem. Support may extend beyond funding and can include the development of a relationship with the charity, sharing their knowledge, networks and expertise. Their funding support may be through grants, impact or social investment with the expectation of a social return.
There are no right or wrong approaches to philanthropy. It can take many forms. The healthy diversity within the philanthropic community creates a strong foundation that is a vital component of the resources that contribute to redressing the imbalances in society. What is most important is the difference that is made to both the giver and the recipient(s) and the impact that is created over time.
If you would like to speak to one of our expert advisors about how we might be able to help you with your philanthropic giving, please call us on 020 4534 2750 or email [email protected].